80 FR 63737 - Privacy Act of 1974; Amended System of Records

DEPARTMENT OF COMMERCE

Federal Register Volume 80, Issue 203 (October 21, 2015)

In accordance with the Privacy Act of 1974 (Privacy Act), as amended, Title 5, United States Code (U.S.C.) 552a(e)(4) and (11); and Office of Management and Budget (OMB) Circular A-130, Appendix 1, ``Federal Agency Responsibility for Maintaining Records About Individuals,'' the Department of Commerce (Department) is issuing a notice of intent to amend the system of records entitled ``COMMERCE/ ITA-1, Individuals Identified in Export Transactions,'' by transferring the system from the International Trade Administration (ITA) to the Bureau of Industry and Security (BIS), and by renaming the system to ``COMMERCE/BIS-1, Individuals Identified in Export Transactions and Other Matters Subject to BIS Jurisdiction.'' The purpose of this amendment is also to update: (a) The security classification, system location, and system manager and address; (b) the categories of individuals covered by the system; (c) the categories of records in the system; (d) the authority for maintenance of the system; (e) the storage, retrievability, safeguards, retention, and disposal of records; (f) the notification, record access, and contesting record procedures; (g) the routine uses by adding the breach notification routine use; (h) records source categories; and (i) exemptions claimed for the system. The information is collected for identification purposes of individuals involved in export transactions chosen for or participating in export regulation outreach, education and information programs; individuals seeking export licenses or other authorizations from BIS, as well as related end use checks; individuals providing information pursuant to laws or regulations administered or enforced by BIS; or individuals under suspicion or investigation or having been convicted of or otherwise found liable for violations of export control laws or other laws or regulations administered by BIS. We invite public comment on the amended system announced in this publication.

[Federal Register Volume 80, Number 203 (Wednesday, October 21, 2015)]
[Notices]
[Pages 63737-63740]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2015-26776]


=======================================================================
-----------------------------------------------------------------------

DEPARTMENT OF COMMERCE

[Docket No. 150903817-5817-01]


Privacy Act of 1974; Amended System of Records

AGENCY: Bureau of Industry and Security, U.S. Department of Commerce.

ACTION: Notice of Proposed Amendment to Privacy Act System of Records: 
``COMMERCE/ITA-1, Individuals Identified in Export Transactions.''

-----------------------------------------------------------------------

SUMMARY: In accordance with the Privacy Act of 1974 (Privacy Act), as 
amended, Title 5, United States Code (U.S.C.) 552a(e)(4) and (11); and 
Office of Management and Budget (OMB) Circular A-130, Appendix 1, 
``Federal Agency Responsibility for Maintaining Records About 
Individuals,'' the Department of Commerce (Department) is issuing a 
notice of intent to amend the system of records entitled ``COMMERCE/
ITA-1, Individuals Identified in Export Transactions,'' by transferring 
the system from the International Trade Administration (ITA) to the 
Bureau of Industry and Security (BIS), and by renaming the system to 
``COMMERCE/BIS-1, Individuals Identified in Export Transactions and 
Other Matters Subject to BIS Jurisdiction.'' The purpose of this 
amendment is also to update: (a) The security classification, system 
location, and system manager and address; (b) the categories of 
individuals covered by the system; (c) the categories of records in the 
system; (d) the authority for maintenance of the system; (e) the 
storage, retrievability, safeguards, retention, and disposal of 
records; (f) the notification, record access, and contesting record 
procedures; (g) the routine uses by adding the breach notification 
routine use; (h) records source categories; and (i) exemptions claimed 
for the system.
    The information is collected for identification purposes of 
individuals involved in export transactions chosen for or participating 
in export regulation outreach, education and information programs; 
individuals seeking export licenses or other authorizations from BIS, 
as well as related end use checks; individuals providing information 
pursuant to laws or regulations administered or enforced by BIS; or 
individuals under suspicion or investigation or having been convicted

[[Page 63738]]

of or otherwise found liable for violations of export control laws or 
other laws or regulations administered by BIS. We invite public comment 
on the amended system announced in this publication.

DATES: To be considered, written comments must be submitted on or 
before November 20, 2015. Unless comments are received, the new system 
of records will become effective as proposed on the date of publication 
of a subsequent notice in the Federal Register.

ADDRESSES: Comments may be mailed to the Privacy Officer, Bureau of 
Industry and Security, Department of Commerce, 1401 Constitution Avenue 
NW., Room 6622, Washington, DC 20230.

FOR FURTHER INFORMATION CONTACT: Chief Financial Officer and Director 
of Administration, Bureau of Industry and Security, Department of 
Commerce, 1401 Constitution Avenue NW., Room 6622, Washington, DC 
20230.

SUPPLEMENTARY INFORMATION: This notice announces the Department's 
proposal to amend the system of records under the Privacy Act of 1974, 
for Individuals Identified in Export Transactions records. The changes 
are needed because the existing notice for this system of records 
identifies ITA as the owner of the system, which is no longer the case 
as the system of records has been transferred to BIS. These changes 
clarify the scope of laws and regulations administered or enforced by 
BIS. Information collections would be obtained from individuals under 
the authority of the Export Administration Act of 1979, the Export 
Administration Regulations, the Security Assistance Act of 2002, the 
Foreign Trade Regulations, the International Emergency Economic Powers 
Act, the United States Additional Protocol Implementation Act, the 
Chemical Weapons Convention Implementation Act of 1998, the Defense 
Production Act of 1950, and the Fastener Quality Act. Further, these 
changes clarify the types of records maintained.

COMMERCE/BIS-1
SYSTEM NAME:
    COMMERCE/BIS-1, Individuals Identified in Export Transactions and 
Other Matters Subject to BIS Jurisdiction.

SECURITY CLASSIFICATION:
    Unclassified, Sensitive.

SYSTEM LOCATION:
    Department of Commerce, Herbert C. Hoover Building.

CATEGORIES OF INDIVIDUALS COVERED BY THE SYSTEM:
    a. Individuals involved in export transactions. This information is 
maintained on domestic and foreign companies and business officials, 
and includes U.S. citizens involved with or working for firms abroad.
    b. Individuals identified in a BIS export enforcement proceeding or 
investigation. Individuals alleged to have violated the Export 
Administration Regulations; certain other individuals identified by the 
Federal Bureau of Investigation (FBI) or other investigating agencies 
or individuals in the investigative process such as those involved in 
organized crime; individuals who have received warning letters; and 
individuals subject to prohibitions, licensing requirements, or other 
restrictions.
    c. Individuals identified in export license applications, licenses, 
or other authorizations from BIS, including related end use checks.
    d. Individuals identified in proceedings or investigations related 
to other laws and regulations administered, or enforced by BIS.
    e. Individuals who have provided information to BIS to participate 
in export regulation outreach, education and information programs.
    f. Individuals who have otherwise provided information to BIS 
pursuant to laws and regulations administered or enforced by BIS.

CATEGORIES OF RECORDS IN THE SYSTEM:
    Reports and cables from U.S. Foreign Service's posts; FBI and other 
U.S. or foreign law enforcement or investigative agencies, 
investigators or informants; investigative and intelligence data; 
documented violations; warning letters; licensing information; export 
transaction information; and information obtained pursuant to other 
laws or regulations administered or enforced by BIS. Also includes any 
information on alleged or proven violators of the Export Administration 
Act or Regulations, the International Emergency Economic Powers Act or 
any other law or regulation administered or enforced by BIS and 
information collected to meet U.S. treaty obligations, for which BIS is 
responsible to implement. Examples of these categories of records and 
data items may include, but are not limited to: (1) Identifying 
Numbers; (2) General Personal Data; (3) Work-Related Data; (4) 
Distinguishing Features/Biometrics; and (5) System Administration/Audit 
Data.

AUTHORITY FOR MAINTENANCE OF THE SYSTEM:
    Export Administration Act of 1979 (Pub L. 96-72, 50 U.S.C. app. 
2401-2420), Export Administration Regulations (EAR) (15 CFR 730-799), 
the Security Assistance Act of 2002 (13 U.S.C. 305) and the Foreign 
Trade Regulations (15 CFR 30.60 and 30.73), International Emergency 
Economic Powers Act (IEEPA), as amended (50 U.S.C. 1701-1706), 5 U.S.C. 
301, 22 U.S.C. 401, 22 U.S.C. 8544, 28 U.S.C. 533-535, 44 U.S.C. 3101, 
United States Additional Protocol Implementation Act (Pub. L. 109-401), 
Chemical Weapons Convention Implementation Act of 1998 (22 U.S.C. 6701 
et seq.), Defense Production Act of 1950, as amended (50 U.S.C. App. 
2061 et seq.), Fastener Quality Act, as amended (15 U.S.C. 5401 et 
seq.).

PURPOSES:
    The purpose of this system is to maintain records that are related 
to the administration, enforcement, and implementation of the laws and 
regulations under the jurisdiction of BIS. Included in these records is 
information regarding individuals involved or identified in export 
transactions, export license applications, licenses, or other 
authorizations from BIS, and individuals identified in BIS export 
enforcement proceedings or suspected of violating statutes, 
regulations, or Executive Orders administered, enforced, or implemented 
by BIS.

ROUTINE USES OF RECORDS MAINTAINED IN THE SYSTEM, INCLUDING CATEGORIES 
OF USERS AND PURPOSES OF SUCH USES:
    1. In the event that a system or records maintained by the 
Department to carry out its functions indicates a violation or 
potential violation of law or contract, whether civil, criminal or 
regulatory in nature, and whether arising by general statute or 
particular program statute or contract, or rule, regulation, or order 
issued pursuant thereto, or the necessity to protect an interest of the 
Department, the relevant records in the system of records may be 
referred, as a routine use, to the appropriate agency, whether Federal, 
state, local or foreign, charged with the responsibility of 
investigating or prosecuting such violation or charged with enforcing 
or implementing the statute or contract, or rule, regulation or order 
issued pursuant thereto, or protecting the interest of the Department.
    2. A record from this system of records may be disclosed, as a 
routine use, to a Federal, state or local agency maintaining civil, 
criminal or other

[[Page 63739]]

relevant enforcement information or other pertinent information, such 
as current licenses, if necessary to obtain information relevant to a 
Department decision concerning the assignment, hiring or retention of 
an individual, the issuance of a security clearance, the letting of a 
contract, or the issuance of a license, grant or other benefit.
    3. A record from this system of records may be disclosed, as a 
routine use, to a Federal, state, local, or international agency, in 
response to its request, in connection with the assignment, hiring or 
retention of an individual, the issuance of a security clearance, the 
reporting of an investigation of an individual, the letting of a 
contract, or the issuance of a license, grant, or other benefit by the 
requesting agency, to the extent that the information is relevant and 
necessary to the requesting agency's decision on the matter.
    4. A record from this system of records may be disclosed, as a 
routine use, in the course of presenting evidence to a court, 
magistrate or administrative tribunal, including disclosures to 
opposing counsel in the course of settlement negotiations.
    5. A record in this system of records may be disclosed, as a 
routine use, to a Member of Congress submitting a request involving an 
individual when the individual has requested assistance from the Member 
with respect to the subject matter of the record.
    6. A record in this system of records may be disclosed, as a 
routine use, to the Office of Management and Budget in connection with 
the review of private relief legislation as set forth in OMB Circular 
No. A-19 at any stage of the legislative coordination and clearance 
process as set forth in that Circular.
    7. A record in this system of records may be disclosed, as a 
routine use, to the Department of Justice in connection with 
determining whether disclosure thereof is required by the Freedom of 
Information Act (5 U.S.C. 552).
    8. A record in this system of records may be disclosed, as a 
routine use, to a contractor of the Department having need for the 
information in the performance of the contract, but not operating a 
system of records within the meaning of 5 U.S.C. 552a(m).
    9. A record in this system may be transferred, as a routine use, to 
the Office of Personnel Management: for personnel research purposes; as 
a data source for management information; for the production of summary 
descriptive statistics and analytical studies in support of the 
function for which the records are collected and maintained; or for 
related manpower studies.
    10. A record from this system of records may be disclosed, as a 
routine use, to the Administrator, General Services Administration 
(GSA), or his designee, during an inspection of records conducted by 
GSA as part of that agency's responsibility to recommend improvements 
in records management practices and programs, under authority of 44 
U.S.C. 2904 and 2906. Such disclosure shall be made in accordance with 
the GSA regulations governing inspection of records for this purpose, 
and any other relevant (i.e. GSA or Department) directive. Such 
disclosure shall not be used to make determinations about individuals.
    11. A record in this system of records may be disclosed to 
appropriate agencies, entities and persons when: (1) It is suspected or 
determined that the security or confidentiality of information in the 
system of records has been compromised; (2) the Department has 
determined that as a result of the suspected or confirmed compromise 
there is a risk of harm to economic or property interests, identity 
theft or fraud, or harm to the security or integrity of this system or 
whether systems or programs (whether maintained by the Department or 
another agency or entity) that rely upon the compromised information; 
and (3) the disclosure made to such agencies, entities, and persons is 
reasonably necessary to assist in connection with the Department's 
efforts to respond to the suspected or confirmed compromise and to 
prevent, minimize, or remedy such harm.
    12. A record in this system of records may be disclosed for law 
enforcement purposes to the appropriate agency or other authority, 
whether federal, state, local, foreign, international or tribal, 
charged with the responsibility of enforcing, investigating, or 
prosecuting a violation of any law, rule, regulation, or order in any 
case in which there is an indication of a violation or potential 
violation of law (civil, criminal, or regulatory in nature).
    13. A record in this system of records may be disclosed to an 
agency, organization, foreign government or individual for the purpose 
of performing audit or oversight operations or meeting treaty 
obligations as authorized by law, but only such information as is 
necessary and relevant to such audit or oversight function or treaty 
obligations.
    14. A record in this system of records may be disclosed to 
contractors and BIS or contractor agents, grantees, experts, 
consultants, and others performing or working on a contract, service, 
grant, governmental or non-governmental cooperative agreement 
(including under the Economy Act), or other work assignment for BIS, 
when necessary to accomplish an agency function related to this system 
of records. Individuals provided information under this routine use are 
subject to the same Privacy Act requirements and limitations on 
disclosure as are applicable to BIS employees.
    15. A record in this system of records may be disclosed to the 
Departments of State, Justice, Homeland Security, the Treasury, 
Defense, or Energy, or other federal agencies, in connection with BIS 
licensing policy, enforcement matters, or other matters of mutual 
interest or concern, including through interagency databases;
    16. A record in this system of records may be disclosed to the 
general public, in furtherance of BIS's mission, regarding individuals 
and entities whose export privileges have been denied or limited. This 
routine use includes disclosure of information to the general public in 
furtherance of BIS's mission regarding individuals and entities that 
have been denied export privileges by BIS, or who are subject to 
additional restrictions and license requirements. This routine use 
encompasses publishing this information in the Federal Register, in the 
Code of Federal Regulations, on BIS's Web site, and by other means. 
Individuals and entities on the Denied Persons List are generally 
designated based on authorities denying or restricting their export 
privileges because of identified threats to the national security, 
foreign policy, and/or economy of the United States. Generally, the 
personal identifier information provided on the Denied Persons List may 
include, but is not limited to, names and aliases, addresses, dates of 
birth, citizenship information, and, at times, identification numbers 
associated with government-issued documents. It is necessary to provide 
this identifier information in a publicly available format so that 
listed individuals and entities can be identified and prevented from 
engaging in conduct otherwise prohibited by the EAR. At the same time, 
the release of detailed identifier information of individuals is 
important in helping to protect other individuals from being improperly 
identified as the prohibited party. Because the Denied Persons List are 
posted on BIS's public Web site and published in the Federal Register 
and Code of Federal Regulations, a designated individual's identifier 
information can be accessed by any individual or entity with access to 
the internet, the Federal Register, or the Code of Federal Regulations. 
Thus, the

[[Page 63740]]

impact on the individual's privacy will be substantial, but this is 
necessary in order to make targeted denial orders and restrictions 
effective. Designated individuals can file an appeal or petition to 
request their removal from these lists. If such an appeal is granted, 
the individual's name and all related identifier information will be 
removed from the Denied Persons List.

DISCLOSURE TO CONSUMER REPORTING AGENCIES:
    Not applicable.

POLICIES AND PRACTICES FOR STORING, RETRIEVING, ACCESSING, RETAINING, 
AND DISPOSING OF RECORDS IN THE SYSTEM:
STORAGE:
    Paper records in file folders and electronic records in computer 
files.

RETRIEVABILITY:
    Filed alphabetically by individual's name or by other personal 
identifiers, by an identifying case number upon initiation of the case 
or by an identifying transaction number upon successful transmission of 
the export transaction information.

SAFEGUARDS:
    Paper records and discs are maintained in office areas with access 
limited to screened personnel whose official duties require access. 
Automated records are maintained on protected servers in data centers 
with access limited to screened personnel whose official duties require 
access.

RETENTION AND DISPOSAL:
    Retention and disposal practices are in accordance with approved 
General Services Administration schedules. Generally, records are 
retained for periods of 5-15 years, unless a longer period is deemed 
necessary for investigative purposes or for permanent archival 
retention.

SYSTEM MANAGER(S) ADDRESSES:
    Office of the Chief Financial Officer and Director of 
Administration, Bureau of Industry and Security, Department of 
Commerce, 1401 Constitution Avenue NW., Washington, DC 20230.

NOTIFICATION PROCEDURE:
    Information may be obtained from: Privacy Officer, Office of the 
Chief Financial Officer and Director of Administration, Bureau of 
Industry and Security, Department of Commerce, 1401 Constitution Avenue 
NW., Washington, DC 20230. Requestor should provide name, address and 
case or subject, if known, pursuant to the inquiry provisions of the 
Department's rules which appear in 15 CFR part 4.

RECORD ACCESS PROCEDURES:
    Requests from individuals should be addressed to: Same address as 
stated in the notification section above.

CONTESTING RECORD PROCEDURES:
    The department's rules for access, for contesting contents and 
appealing initial determinations by the individual concerned appear in 
15 CFR part 4b. Use above address.

RECORD SOURCE CATEGORIES:
    Individual exporters, those authorized by the individual exporters 
to furnish information, trade sources, investigative agencies, 
intelligence, investigative, legal, and other personnel of BIS or the 
Department of Commerce, informants, Department of Homeland Security, 
Federal Bureau of Investigation, Central Intelligence Agency, 
Department of Justice, Department of Defense, Department of Energy, and 
Department of State on an official ``need to know'' basis. Also, 
individuals authorized to furnish information pursuant to laws or 
regulations administered by BIS.

EXEMPTIONS CLAIMED FOR THE SYSTEM:
    Pursuant to 5 U.S.C. 552a(j)(2), all information about an 
individual in the record which meets the criteria stated in 5 U.S.C. 
552a(j)(2) are exempted from the notice, access and contest 
requirements of the agency regulations and from all parts of 5 U.S.C. 
552a except subsections (b), (c)(1) and (2), (e)(4)(A) through (F), 
(e)(6), (7), (9), (10), and (11), and (i). Pursuant to 5 U.S.C. 
552a(k)(1) and (k)(2) on condition that the 5 U.S.C. 552a(j)(2) 
exemption is held to be invalid, all investigatory material in the 
record which meets the criteria stated in 5 U.S.C. 552a(k)(1) and 
(k)(2) are exempted from the notice, access, and contest requirements 
(under 5 U.S.C. 552a(c)(3), (d), (e)(1), (e)(4)(G), (H), and (I), and 
(f)) of the agency regulations because of the necessity to exempt this 
information and material in order to accomplish the law enforcement 
function of the agency, to prevent subjects of investigation from 
frustrating the investigatory process, to prevent the disclosure of 
investigative techniques, to fulfill commitments made to protect the 
confidentiality of sources, to maintain access to sources of 
information, and to avoid endangering these sources and law enforcement 
personnel. Section 12(c) of the Export Administration Act of 1979 also 
protects certain parts of this information and material related to or 
concerning export licenses from disclosure, and other certain parts of 
this information may be protected from disclosure by the Chemical 
Weapons Convention Implementation Act of 1998, the Additional Protocol 
Implementation Act of 2006, and the Defense Production Act of 1950.

    Dated: October 16, 2015.
Michael J. Toland,
Freedom of Information/Privacy Act Officer, Department of Commerce.
[FR Doc. 2015-26776 Filed 10-20-15; 8:45 am]
BILLING CODE 3510-33-P